HomeCryptoBitcoin sees ‘quite healthy’ consolidation on $200M BTC options expiry day

Bitcoin sees ‘quite healthy’ consolidation on $200M BTC options expiry day

Bitcoin (BTC) ranged round $48,000 on Friday as hopes of a bull run endured because of low provide and upcoming company disclosures.

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

Anticipation builds for cross-crypto breakout

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD continuing to consolidate into Friday, with the latest options expiry now due.

The pair had made little progress since bouncing off $47,000 the day before, but bullish expectations among analysts were also firmly intact.

As Cointelegraph reported, these revolve around a “supply squeeze” driving prices up — a combination of increased demand while long-term holders already own almost 80% of the supply.

“Keep in mind alt supply, and ETF season ahead likely to be key drivers + disclosures,” trader Pentoshi noted as part of comments on the BTC price outlook.

Cointelegraph contributor Michaël van de Poppe was similarly cool about current market activity.

“I don’t suppose it’s best to fear in regards to the market consolidating right here. Quite wholesome,” he summarized on the day. 

“Altcoins still rocking. Great months to come in crypto.”

A take a look at purchase and promote ranges on main alternate Binance confirmed resistance starting at $48,600, this having crept decrease through the consolidation. Buy curiosity, in the meantime, nonetheless lay at $44,000.

BTC/USD buy and sell levels (Binance) as of Sept. 17. Source: Material Indicators

“Bullish but cautious”

Calmer conditions on derivatives platforms likewise cooled concerns over a repeat of last week’s main sell-off. 

Related: New Bitcoin worth mannequin suggests BTC received’t go beneath $39K once more

When Bitcoin misplaced $10,000 in a single day, overleveraged buying and selling noticed a wipe-out, and leverage has since stayed significantly decrease.

Slightly constructive funding charges recommend that the market is significantly better positioned for sustainable upside — bullish, however with out irrationality.

“Traders in Bitcoin futures markets remain reasonably bullish with a positive funding rate returning to perpetual swap contracts,” Yann Allemann and Jan Happel, co-founders of on-chain analytics agency Glassnode, commented on an accompanying chart. 

“Note how funding rates are positive, but not up to the same level as before the $10k sell-off last week The Bitcoin market is bullish, but cautious.”

Bitcoin futures funding charges annotated chart. Source: Allemann and Happel/Twitter